Improvise
If you had to stand up right this minute and give a 30m presentation on one thing, what would it be about?
Iâll give you a second to think about that.
âŠ
Whatâs your answer?
Personally, I would break down the process of running an angel group via the Angel Ops framework.
One Thing
I hope youâll respond and share your presentation topic.
Iâm genuinely curious.
This question is one of my all-time favorite icebreaker questions to ask.
Why?
Because it surfaces something you know more about and understand far more deeply than most people.
It shows us something that you are insanely, shockingly, outrageously knowledgeable and excited about.
Thatâs a fun presentation to watch, even if Iâm not particularly interested in the topic.
Where am I going with all this?
Early-stage startup investors really like founders who are a little bit crazy.
Hereâs why.
The Observer Express
Donât have time to read the entire post right now? No worries, here are the main points:
The image of the hyper-successful startup founder, according to ChatGPT.
Investors are drawn to founders with unconventional traits because they suggest an extra measure of differentiation, grit, and magnetism relative to ânormalâ founders.
Imagine With Me
âThe hyper-successful startup founder.â
What image comes to mind?
How would you describe this personâs personality to a friend?
I wondered what most people would say to this question. Then I realized I could find out.
So I Asked ChatGPT
Then I asked ChatGPT for a shorter response because you donât have time to read the 300 words it gave me at first (youâre welcome).
Hereâs what it spit out after digesting the collective human conscience that is the internet:
âThe hyper-successful startup founder is a force of nature, driven by relentless ambition and a magnetic personality. They thrive on challenges, taking risks fearlessly while inspiring others with their charisma. Yet, beneath their confidence lies a humble dedication to making a positive impact on the world.â
Interesting.
Most people I know do NOT fit that definition.
Most people are honestly, well, a little boring - and theyâre happy with that.
But hyper-successful founders are anything BUT boring.
Andrewâs Version
Hereâs my version of ChatGPTâs description: âTheyâre a little crazy, but we kinda love them for it.â
From an investorâs perspective, I think a little âcrazyâ is a fantastic character trait to look for in a startup founder.
Here are 3 reasons why.
Differentiation
Grit
Magnetism
Reason #1: DifferentiationđŠ
In general, early-stage investors are looking for every single deal to be capable of driving the returns for their entire startup portfolio.
Said another way, each deal needs to have the potential to be huge.
That means that the product or service cannot be the same as everyone elseâs.
It needs to be unique or differentiated enough to draw market share away from existing alternatives (AKA competitive advantage) and win the whole market.
Founders who are a little âinsaneâ in the way they see the world are uniquely positioned to create something that stands out in a major way.
Reason #2: Gritđ§
Building a company is hard.
Iâve written about this before, and Iâll write about it again.
It is really, really, really hard and most of us should never ever do it.
Building a hyper-successful startup requires an insane amount of grit and determination.
To succeed against all odds, to proceed when everything goes wrong, and to exceed the expectations of everyone around you - thatâs not something just anyone can pull off.
Reason #3: Magnetismđ§Č
Even the best and brightest among us canât build a billion-dollar enterprise alone.
This monumental task requires a fantastic team.
I believe founders with a âlittle bit of crazyâ are uniquely able to communicate their vision with an infectious, magnetic confidence that invites collaboration on the journey.
No matter the circumstances.
This magnetism inspires teams, rallies investors, and attracts customers in a very real way.
Final Thoughts
I tend to think we all have âa little bit of crazyâ in us. For startup investors, paying attention to whatâs âweird,â âdifferent,â or âkind of insaneâ about the entrepreneur driving a company can tell you a lot about what the future may hold. You may disagree, but I believe the right amount of âcrazyâ indicates potential for differentiation, grit, and magnetism that otherwise ânormalâ founders will never be able to match.
What do you think?
Do you like when a founder is eccentric, different, and maybe even a little crazy?
Weekly Observations: 3 Lessons Learned
Sometimes getting your hands dirty shows you what to clean first.đ§€
This week our lead designer was out of the office, so I was responsible for the design work on 3 reports. I learned a TON about how things have changed in the last few months since we began to grow our team, and realized through the experience that there was some work to do to improve our process. I would never have realized this if I hadnât been forced to step into the role.
You canât get back up unless you get knocked down.đ„
This week I got punched in the face (figuratively). It was rough. I learned about a new, well-funded semi-competitor that I wasnât previously aware of, and at first I was pretty bummed. So I let myself be sad for a day. But when Monday rolled around, I got back up, hit the ground running, and am as confident as ever that weâre onto something big here at PitchFact.
Donât overthink it. Way more enjoyable.đȘ”
I definitely overthink it. A lot. But this weekend, a friend and I built a small wooden side table together as a way to catch up, and I am proud to say I went in with no design or plans, just my own (very mediocre) DIY skills and a trip to Loweâs. The product was a solid 6/10, but let me tell you I enjoyed the experience 100x more than I wouldâve if we tried to overengineer the thing together and ended up getting nothing built.
Weekly Links: 3 Things I Found Interesting
Literally 10% of Anguillaâs revenue was from the .ai domain. Incredible. (link)đ»
41 lessons from the advertising guru himself, David Ogilvy. (link)đĄ
Apparently all the French VCs live in Paris. (link)đŒ
Thanks for reading, have a great week.
-Andrew
If you enjoyed this post, please share it with a friend, colleague, or anyone else who may benefit.
P.S. - I recently finished creating The Angel Network Toolkit: 90 Resources for Cultivating a Thriving Community of Pre-Series B Investors, and Iâm sharing it with anyone who refers a friend.
How did I do this week?
About Me
I cultivate flourishing.
I'm also the CEO of PitchFact, where our mission is to cultivate flourishing specifically through efficient and collaborative early-stage diligence. I'm a proud husband, grateful father, and honest friend. My love languages include brisket, bourbon, and espresso.